Maryland paycheck taxes at a glance
| Income tax on wages | Progressive, 2% – 6.5% |
|---|---|
| Minimum wage (2026) | $15.00 an hour (tipped employees at least $3.63 an hour plus tips; Montgomery County and Howard County set higher local rates) |
Local taxes: Every Maryland county and Baltimore City levies a local income tax of 2.25% to 3.30%, withheld with state tax.
2026 Maryland income tax brackets (single filers)
| Taxable income | Rate |
|---|---|
| $0 – $999 | 2% |
| $1,000 – $1,999 | 3% |
| $2,000 – $2,999 | 4% |
| $3,000 – $99,999 | 4.75% |
| $100,000 – $124,999 | 5% |
| $125,000 – $149,999 | 5.25% |
| $150,000 – $249,999 | 5.5% |
| $250,000 – $499,999 | 5.75% |
| $500,000 – $999,999 | 6.25% |
| $1,000,000 and up | 6.5% |
Example: a $107,700 salary in Maryland
The median household income in Maryland is about $107,700 (2025 data). Here's what one earner with that salary, paid every two weeks, filing single with no pre-tax deductions, would see on each paycheck in 2026:
| Gross pay | $4,142.31 |
|---|---|
| Federal income tax | −$571.69 |
| Social Security | −$256.82 |
| Medicare | −$60.06 |
| Maryland income tax | −$185.87 |
| Take-home pay | $3,067.86 |
That's $79,764 a year in take-home pay, or 25.9% of gross pay going to taxes.
Take-home pay by salary in Maryland
Single filer, paid biweekly, standard W-4, no pre-tax deductions:
| Salary | Per paycheck | Per year | State taxes | Total tax rate |
|---|---|---|---|---|
| $40,000 | $1,261.00 | $32,786 | $1,534 | 18% |
| $60,000 | $1,842.54 | $47,906 | $2,484 | 20.2% |
| $80,000 | $2,372.15 | $61,676 | $3,434 | 22.9% |
| $100,000 | $2,876.77 | $74,796 | $4,384 | 25.2% |
| $150,000 | $4,105.83 | $106,752 | $7,040 | 28.8% |
| $200,000 | $5,350.15 | $139,104 | $9,823 | 30.4% |
What changed for 2026
- Counties can now set income tax rates up to 3.30%, up from 3.20%. For 2026, Allegany County rose from 3.03% to 3.20% and Kent County from 3.20% to 3.30%.
- Maryland's 2025 tax law added 6.25% and 6.5% brackets for high earners and replaced the old income-based standard deduction with a flat amount indexed for inflation: $3,350 for single filers in 2025. The 2026 withholding formula uses $3,400.
- The Maryland Paid Family and Medical Leave (FAMLI) program is set to collect premiums of 0.9% of wages, split equally between employers and employees, starting January 1, 2027. Nothing is deducted in 2026.
Maryland pay rules worth knowing
- Employers must pay at least every two weeks or twice a month. Administrative, executive and professional employees can be paid less often.
- When you leave a job for any reason, your final wages are due on the day you would have been paid if you'd stayed.
State tax plus county tax
In Maryland, every resident pays a local income tax. All 23 counties and Baltimore City levy one, and your employer withholds it along with state tax based on where you live. For 2026 the rates run from 2.25% to 3.30%. Dorchester and Kent counties are at the 3.30% maximum, and Anne Arundel and Frederick counties use graduated rates instead of a single one.
The county tax is applied to the same Maryland taxable income as the state tax, so it adds a large slice on top. With $70,000 of taxable income, a 3.2% county rate costs $2,240, about two-thirds of the roughly $3,270 state tax on the same income. The calculator figures the state tax automatically. To include your county, enter its rate in the Local income tax rate field above.
Nonresidents who work in Maryland but live in a state without reciprocity, such as Delaware, pay a special nonresident tax of 2.25% in place of a county tax.
What changed in Maryland’s 2025 tax law
Maryland’s 2025 budget law made several changes that show up in 2026 paychecks:
- Two new top brackets. Income above $500,000 (single) or $600,000 (joint) is taxed at 6.25%, and above $1 million (single) or $1.2 million (joint) at 6.5%.
- A flat standard deduction. The old deduction, a percentage of income with a floor and a ceiling, was replaced by a flat amount indexed for inflation: $3,350 for single filers in 2025. The 2026 withholding formula uses $3,400.
- A higher county cap. Counties may set rates up to 3.30% starting with 2026, and Allegany and Kent raised theirs.
- A capital gains surtax. A 2% tax on capital gains for households with federal adjusted gross income above $350,000. It doesn’t affect wages.
Personal exemptions of $3,200 per person still phase down at higher incomes, starting above $100,000 for single filers and $150,000 for joint filers.
Paid family leave is coming in 2027
Maryland’s FAMLI program was delayed. Premiums of 0.9% of wages, split equally between employers and employees, are now set to begin with wages paid on January 1, 2027, and benefits of up to $1,000 a week start January 1, 2028. Nothing comes out of your paycheck for it in 2026.
The income tax calculator estimates your full-year federal tax, and the cost of living calculator compares salaries between Maryland counties and nearby DC and Virginia.
Estimates only. Your employer’s payroll system, your W-4 and your Form MW507 determine your actual paycheck.
How we calculate: County income tax (2.25%–3.30% of Maryland taxable income) is not included; enter it as a local rate. The 2026 joint/head-of-household standard deduction ($6,850) is computed from the statutory cost-of-living formula; the single amount ($3,400) is from the 2026 withholding guide.
Sources
- Maryland Department of Labor: Wage and hour facts (minimum wage, local rates)
- Maryland Code, Labor and Employment § 3-413: Minimum wage
- Maryland Code, Labor and Employment § 3-502: Pay frequency
- Comptroller of Maryland: Tax alert on 2025 legislative changes (deductions and state and local rates)
- Comptroller of Maryland: 2025 resident tax booklet (county rates)
- Comptroller of Maryland: Form MW507 (reciprocity)
- Maryland Paid Family and Medical Leave
- Maryland Paid Family and Medical Leave: Employer contributions
- Census Bureau: Household Income in States and Metropolitan Areas, 2025
- marylandcomptroller.gov
- marylandcomptroller.gov
- IRS Publication 15-T (federal withholding)
Frequently asked questions
How much is Maryland county income tax?
Every county and Baltimore City sets its own rate, from 2.25% to 3.30% for 2026. It's applied to the same Maryland taxable income as the state tax and withheld from your paycheck together with state tax, based on the county where you live.
I live in Virginia and work in Maryland. Do I pay Maryland tax?
No, as long as you don't keep a home in Maryland. Maryland has reciprocity with Virginia, West Virginia and the District of Columbia, and with Pennsylvania for its residents. Give your employer Form MW507 to claim the exemption.
I live in Delaware and work in Maryland. What do I pay?
Delaware isn't covered by reciprocity, so Maryland taxes your Maryland wages. As a nonresident, you pay the state income tax plus a special nonresident tax of 2.25% in place of the county tax.
When will Maryland paid family leave come out of my paycheck?
Starting with wages paid on or after January 1, 2027. The total premium is 0.9% of wages up to the Social Security wage base, split equally, so employees will pay up to 0.45%. Benefits of up to $1,000 a week start January 1, 2028.
What is the minimum wage in Montgomery County?
From July 1, 2026, it's $18.00 an hour for employers with 51 or more employees, $16.50 for employers with 11 to 50, and $15.95 for those with 10 or fewer. It's adjusted for inflation every July 1.
Facts verified November 6, 2026. Estimates only; your employer's payroll system and your W-4 determine your actual withholding.